From Calm Seas to Rough Waters: New Solutions and New Problems in Shipping Law

Quadrant Chambers hosted a selection of topical presentations, which tool place at the Piraeus Marine Club on the afternoon of 17th November.

Simon Rainey QC: The Global Santosh: Contrary to “what everyone in the industry understands to be the division of risk for arrests”?
Simon Rainey Q.C. considers the time charterer’s potential responsibility for shippers, receivers and sub-charterers under the commonly used term “charterers or their agents” in the light of, what has proved to be, the surprisingly controversial recent Supreme Court decision in NYK v Cargill (The Global Santosh) [2016] UKSC 20, and assesses the impact of the decision on arguing, in other time charter contexts, for a division between concepts of so-called ‘charterers’ responsibility’ and ‘owners’ responsibility’ given the rejection of the Court of Appeal’s ‘whose side of the line?’ approach to off hire clauses.

Michael Nolan QC: What lies beneath the Coral Seas ....
Is a shipowner liable for breach of a continuing performance warranty where the underperformance is caused by bottom fouling arising from compliance with a time charterer’s orders? Michael Nolan QC discusses the recent decision of the Commercial Court in The Coral Seas [2016] EWHC 1506 (Comm) and considers the arguments now available to an owner whose vessel’s performance is affected by fouling arising from a long stay in a warm water port.

Matthew Reeve: Stuck with Someone else's cargo: how far need you go?
Matthew Reeve provides a succinct analysis of the duties in bailment of the ship owner left in possession of the cargo following withdrawal of the vessel. He will consider recent cases, since The Kos [2012], including The Bad Yue [2016]. He explores, the bailee’s duties in respect of the care and further carriage of the goods, management of the risks to the bailee, including delivery to the wrong party and storing the cargo in circumstances which might give rise to a third party lien, and, the limits of the bailee/ owner’s entitlement to compensation.

Nevil Phillips: Spar Wars: Astra La Vista – The condition debate over the obligation to pay punctual advance hire under a time charterparty
Nevil Phillips explores the debate that has long-raged over whether the obligation to pay punctual advance hire under a time charterparty is a condition of the contract, and considers the reasoning of the Court of Appeal in its recent decision in Spar Shipping AS v Grand China Logistics Holding (Group) Co Ltd [2016] EWCA Civ 982.

Thomas Macey-Dare: Endnote - Brexit and shipping disputes: business as usual
Tom Macey-Dare considers whether Brexit will make London a more or less attractive place to resolve shipping disputes, focusing on three topics: (i) jurisdiction and arbitration clauses; (ii) enforcement of English judgments and arbitral awards; and (iii) cost.

Yash Kulkarni : The “MTM Hong Kong” - revisiting the de facto cap on damages for repudiation of a voyage charter
Yash reviews the law on the oft-arising question of damages for repudiatory breach of a voyage charterparty. He discusses the well-established “Noel Bay” measure of damages and asks, in light of the decision in The MTM Hong Kong [2016] 1 Lloyd's Rep.197, whether The Noel Bay still sets out a de facto cap on an owner’s damages, and the extent to which it may now be permissible to assess loss by looking at events at the end of, and beyond the end of, the repudiated voyage charter..

Peter Stevenson: Losing the right to limit: The Atlantik Confidence & The Cape Bari
In light of the decision of the Judicial Committee of the Privy Council in The Cape Bari [2016] UKPC 20 and the Admiralty Judge in The Atlantik Confidence [2016] EWHC 2412, Peter Stevenson considers the question of whether and in what circumstances the Owners of a vessel may lose the right to limit liability under the Convention on Limitation of Liability for Maritime Claims 1976.: